Operating revenue showed massive growth as it grew from ₹2.30 cr in FY20 to ₹10.41 cr in FY21, according to the company’s financial statements.
PurpleTutor, which focuses on AI-powered live lessons, saw a 4.5x increase in revenue in FY21 compared to the prior year. Its overall FY21 revenue was ₹10.41cr. While Edtech as an industry has shown companies evolving in FY21, PurpleTutor is also seeing a big leap in growth.
More than 90% of revenues come from international activities. The company believes that its product is accepted worldwide, and the revenue mix reflects this. The company has made leaps and bounds since it started operations in 2019, when operating revenue was ₹6.3 lakhs for the 2019 financial year.
The increase in revenue also led to an increase in expenses which increased from ₹2.98 cr in FY20 to ₹14.71 cr in FY21. The largest cost was marketing promotions, which accounted for 46% of spend. Payment to teachers was the company’s second largest cost driver at 30% of overall expenses, it was ₹4.4cr in FY21 and in the previous fiscal year it was 98 lakhs ₹ in FY20. Teacher cost increased 4.5 times, in line with revenue growth.
The company focuses on the South Asian, Middle Eastern and Indian markets. It launched artificial intelligence (AI) in classrooms of all age groups after extensive testing. AI makes every teacher a super teacher by giving them real-time feedback on what to do in class while personalizing the learner journey. Personalizing the learner journey is one of the most sought-after goals of AI in the classroom. PurpleTutor solves this problem with its very unique approach to AI which does not focus on replacing teachers but improving them. This allows each child to chart their own individual learning path, completely breaking away from the one-size-fits-all classroom approach.